Bd. Min. 2-11-83; Revised Bd. Min 4-9-15.
- Plan Income
Plan income shall be all monies collected for services rendered or products sold (collections) by the participants in the DFP during a given period of time. This would be the total production for that same period less any deductions, discounts, write-offs and/or accounts receivable. - Deductions from Plan Income
From the total plan income, all plan overhead attributed to the DFP shall be paid first from the revenues (collections) of the practice leaving a difference called net plan income. - Net Plan Income
The balance remaining after deducting all Plan Overhead from the DFP Plan Income is the amount available for Participant compensation or net plan income. All or part of this amount may be distributed to the participants as supplemental compensation for participating in the DFP. The Administrator and the Director will review and make a recommendation to the Dean on the amount of net plan income that is available for distribution. - Minimum monthly collection amounts
It is understood that all Participants should be responsible for covering the direct overhead costs incurred on their behalf while participating in the DFP.To ensure that each Participant in the Plan is covering a reasonable share of the general ongoing overhead of the DFP, the plan may institute a minimum monthly collection, which would be decided by a simple majority of the Participant members. Specifics regarding covering direct overhead costs and minimum monthly collection shall be addressed in the Operations & Procedures Manual.
- Miscellaneous expense account (8% account)
A separate account is available to each participant on a voluntary basis that would be managed by the DFP administrator. Known as the miscellaneous expense account, this account is specifically for managing expenses that are generally considered to be overhead in the operation of a dental practice or, as approved by the Director of the DFP. Guidelines for the expense account are outlined in the DFP Operations & Procedures Manual.All expenditures from the miscellaneous expense account will be administered in accordance with 欧美口爆视频, SOD, and DFP Plan policies. In general, a portion of a participant鈥檚 monthly income sharing (subject to a percentage limit of 8% up to a maximum of $5000.00) can be voluntarily transferred to this account which will be held separately on behalf of the individual participating doctor. The participant can then direct the administrator of the DFP to pay for certain qualifying expenses out of this account.
The monies transferred into the miscellaneous expense account are before tax dollars. Similar to a flexible spending account, monies transferred into this account can only be used to pay for qualifying expense items as outlined in the DFP Operations Manual.
- Separation from the Practice Plan
When a participant is no longer a member of the Plan, the following will occur:- A Plan participant (or his/her estate if the participant dies) shall be entitled to receive his or her net collections (as determined by the standard income sharing formula) from accounts receivable for six (6) months after the effective date of the separation. After six (6) months, any additional accounts receivable that are collected on behalf of the separated participant will not be distributed to the participant but shall remain with the DFP and be placed in the general operating fund of the DFP.
- If any monies remain in the participant鈥檚 miscellaneous expense account at the time of the separation from the DFP Plan, that remaining balance is forfeited to the 欧美口爆视频 and will no longer be available to the participant.
